Problem 20 Suppose that you have a business in which you obtain 10 at the end of each year during six years, and in the seventh year you have to pay…

Problem 20

Suppose that you have a business in which you obtain 10 at the end of each year during six years, and in the seventh year you have to pay 90.

Mark the right answer:

Suppose that could be only two possible scenarios, r=5% or r=9%.

A.In both cases you do the business.

B.You do the business only in first case (r=5%).

C.You do the business only in second case(r=9%).

D.You don’t do the business in none of the cases.